IDAHO PUBLIC UTILITIES COMMISSION

Case No. IPC-E-06-34, Order No. 30398;
IPC-E-06-35, Order No. 30399

August 15, 2007

Contact: Gene Fadness (208) 334-0339,
890-2712

State regulators have approved changes in two contracts
between Idaho Power Co. and a wind developer that will allow the developer
about another year to get the Elmore County wind projects online before having
to pay Idaho Power delay damages.

Idaho Power has received approval from the Public
Utilities Commission to amend its sales agreements with Hot Springs Wind Farm
LLC and Bennett Creek Wind Farm LLC that originally required the projects to be
online by Dec. 31, 2007. The developer of the projects, Energy Vision LLC, said
unanticipated upgrades to Idaho Power’s transmission network will be needed
before the projects can be built. It will take time to conduct the necessary
studies and built the interconnection facilities to accommodate the projects.
The delay in interconnection has caused the projects’ investor and wind turbine
supplier to reallocate the projects’ turbines to other projects. Bennett Creek
and Hot Springs must now wait for the next available turbines, which are due
before the end of this year. One of the contract amendments requires a
modification of the type and size of wind turbines.

Both Bennett Creek and Hot Springs have agreed to provide
Idaho Power with liquid security in an amount sufficient to cover the delay
liquidated damages in the event the projects do not meet new deadlines.

Idaho Power said it is aware of other wind projects facing
similar delays and proposed that the agreement with these wind farms be a
template for similar resolution to other projects. However, the commission
declined that request, although it did accept the liquid security provisions
for these two projects.

Both projects will include 12 wind turbines that will
deliver an average 10 megawatts per month. The developer of both projects is Glenn
Ikemoto of Energy Vision LLC, based in Piedmont, Calif.

A full
text of the commission’s order, along with other documents related to this
case, are available on the commission’s Web site at www.puc.idaho.gov. Click on “File Room”
and then on “Electric Cases” and scroll down to Case Nos. IPC-E-06-34 (Hot
Springs) and IPC-E-06-35 (Bennett Creek).